In Fiscal Year 2007 Company to Release 10 Next-Gen Titles Company Also Announces Game Slate for 2006 Electronic Entertainment Expo

Santa Monica, CA. â€“ May 8, 2006 — Activision, Inc. (Nasdaq: ATVI) today confirmed that the company is currently in development on three launch titles for both the PLAYSTATIONÂ® 3 computer entertainment system and Wiiâ„¢ (formerly code named Revolution) platforms. The company has been working closely with both Sony Computer Entertainment America and Nintendo on the development of Call of DutyÂ® 3 and Marvel: Ultimate Alliance, which will be released on both next-generation systems, as well as on the Xbox 360â„¢ video game and entertainment system from Microsoft. Activision also is developing two completely different games based on the Tony Hawk franchise â€“ Tony Hawkâ€™s Project 8â„¢ for the PlayStation 3 and Xbox 360, and Tony Hawkâ€™s Downhill Jamâ„¢ for Nintendoâ€™s new Wii system. In fiscal 2007, the company will release 10 games for the three next-generation platforms including the titles listed above as well as X-Men: The Official Game for the Xbox 360.

Additionally, at the 2006 Electronic Entertainment Expo Activision will unveil a sneak peak from its highly anticipated Spider-Man 3â„¢ video game that demonstrates the in-game model of the renowned Super Hero and the power of next-generation technology. Activisionâ€™s Windows PC lineup is led by id Softwareâ€™s Enemy Territoryâ„¢: QUAKE Wars, the highly-anticipated online team-based first-person action game.

These announcements underscore Activisionâ€™s commitment to being a leader on all of the next-generation gaming systems. The company established an early leadership position on the Xbox 360 and according to the NPD Group, has the #1 Xbox 360 game with Call of DutyÂ® 2. Activisionâ€™s next-generation slate is anchored by well-established, recognizable brands that the company owns or controls.

Activision also announced its game lineup for the 2006 Electronic Entertainment Expo, taking place at the Los Angeles Convention Center from May 10 – 12, 2006. The companyâ€™s slate showcases games for both next-and current-generation consoles and Windows PC platforms.

â€œActivision will showcase a diverse and well-rounded game slate at this yearâ€™s E3 convention,â€ said Mike Griffith, President and CEO, Activision Publishing, Inc. â€œWe expect that our well-established brands and multi-platform development strategy should continue to provide us with an advantage in the new console era. The next-generation console systems feature significant visual and audio enhancements that will continue making video games more accessible to audiences worldwide.â€

Next-Generation Launch Titles:

Activisionâ€™s PlayStation 3 system launch lineup will take advantage of the hardwareâ€™s multi-core processing to deliver smoother, faster gaming experiences that will closely resemble feature film quality values. The companyâ€™s launch games for Nintendoâ€™s Wii system will fully utilize the Wiiâ€™s revolutionary freehand-style controller by offering more immersive gameplay.

Call of Duty 3, the follow-up to the #1 next-generation game, delivers the intensity of being closer than ever to the fury of combat during the battle for the Liberation of Paris, the most harrowing campaign of WWII, known as The Normandy Breakout. Through a seamless narrative, Call of Duty 3 delivers the rush of unrelenting battle and breathtaking action of the Allied offensive that changed the fate of the world. (PlayStation 3 system, Xbox 360Â® video game and entertainment system from Microsoft, Wii, Xbox, PlayStationÂ® 2 computer entertainment system; fall; not yet rated by the ESRB)

Marvel: Ultimate Alliance is an all-new action/RPG that features over 140 Marvel Super Heroes and Super Villains and the largest roster of comic book characters ever seen in a video game. Players get to create their Super Hero team from over 20 playable characters including Spider-Man, Wolverine, Blade and Captain America, and through their actions determine the fate of both planet Earth and the Marvel Universe, which is revealed in one of several epilogues. (PlayStation 3 system, Xbox 360, Wii, PlayStation 2, Xbox, PSPâ„¢ (PlayStationÂ® Portable) system, Nintendo Game Boy Advance, Windows PC; fall; not yet rated by the ESRB)

Designed and built exclusively for Nintendoâ€™s next-generation and handheld systems, Tony Hawkâ€™s Downhill Jam delivers a totally innovative and unique skateboard experience focused on head-to-head racing. The game allows players to feel the breakneck speed of downhill competition as they tear up the worldâ€™s steepest terrains while performing tricks and outmaneuvering opponents in such locations as San Francisco, Machu Picchu and Hong Kong. Taking on the role of Tony Hawk or one of nine characters, players compete in time-based challenges in one of three gameplay modes including race, trick and slalom. (Wii, Nintendo DS, Game Boy Advance; fall; not yet rated by the ESRB)

Reengineered from the ground up for the PlayStation 3 system and Microsoftâ€™s Xbox 360, Tony Hawkâ€™s Project 8 immerses players in the definitive skateboarding experience using ultra-realistic graphics, enhanced physics and extremely responsive controls that simulate the feeling of skating with every trick and bail. The game challenges players to experience the intensity and pressure of skating against some of the worldâ€™s top pros in true to life competitions as they aim to become the #1 skater. (PlayStation 3 system, Xbox 360, PlayStation 2, Xbox, PSP system; fall; not yet rated by the ESRB)

Powerhouse E3 Lineup:

Set to redefine online action gaming, id Softwareâ€™s Enemy Territory: QUAKE Wars is the ultimate team-and objective-based multiplayer experience. Developed by Splash Damage and executive produced by id Software, the first person strategic action game is set within the epic QUAKEÂ® universe in the year 2065 and pits the Allied troops of the Global Defense Force (GDF) against a new Axis of Evil â€“ the barbaric and technologically advanced Strogg. Built on id Softwareâ€™s new MegaTextureâ„¢ rendering technology and featuring strategic team play, persistent character promotions and the universeâ€™s most powerful weapons and vehicles, Enemy Territory: QUAKE Wars transports players to the frontlines of an epic new war for Earth. (Windows PC; not yet rated by the ESRB)

Building on The Moviesâ„¢â€™ critically acclaimed gameplay, The Movies: Stunts & Effectsâ„¢ Expansion Pack ups the ante on movie production with the addition of stuntmen, death-defying stunts and new stunt double characters; a new particle effects engine that letâ€™s players enhance their scenes with incredible visual effects including fireball explosions, shattering glass, smoke and steam; an all new â€œFreecam Modeâ€ that allows players to adjust the camera location, angle, field of view and path to create truly unique movies; and the addition of new miniature sets that let players create dramatic sweeping angles. (Windows PC; summer; Rated â€œTâ€ (Teen â€“ Blood and Gore, Crude Humor, Mild Language, Sexual Themes, Use of Alcohol, Tobacco Violence) by the ESRB)

Based on DreamWorks Animationâ€™s upcoming film, Over the Hedgeâ„¢ takes players on an all-new adventure beyond the movie as they assume the roles of RJ the raccoon, Verne the turtle, Hammy the squirrel and Stella the skunk and turn a suburban neighborhood loaded with dangerous obstacles and traps into their personal playground. (PlayStation 2, Xbox, Nintendo GameCube and the PC have been rated E10+; Game Boy Advance, Nintendo DS have been rated E by the ESRB; available on North American retail shelves May 9)

X-Men: The Official Game catapults players into an original storyline that serves as a prelude to Twentieth Century Fox and Marvel Studiosâ€™ upcoming film, â€œX-Men: The Last Stand,â€ and allows them to command the distinct powers of Wolverine, Nightcrawler and Iceman as they face off against formidable enemies, battle through massive environments and embark on an epic quest to save mutant-kind. (Rated â€œTâ€ (Teen – violence) for Xbox 360, PlayStation 2, Xbox, Nintendo GameCube and PC by the ESRB; Rated â€œE-10+â€ (Everyone 10 and older â€“ fantasy violence) for the Nintendo DS and Game Boy Advance) by the ESRB; available on North American retail shelves May 16)

Further expanding the experience of the #1 title for the Xbox 360, Activision will release four all new Call of Duty 2 Xbox 360 multiplayer maps at E3 that unleash a blistering barrage of battle for gamers. The four maps will be available via Xbox LiveÂ® online game network. The Bonus Pack features two maps set in Germany and will be released for free. While the Skirmish Pack contains two additional maps set in Russia and France will be sold for 400 Microsoft Pointsâ„¢ through Xbox LiveÂ® Marketplace.

Video taped comments from Activisionâ€™s CEO, Robert Kotick, concerning E3, the PlayStation 3 system, Nintendo Wii and the future of digital entertainment, are available at www.thenewsmarket.com/activision. Media can preview and request broadcast-standard video digitally or by tape at no cost from this site.

About id Software

id â€“ Freud’s primal part of the human psyche and one of the hottest game shops on Earth â€“ has been rocking the gaming world from Mesquite, Texas since 1991. As a renowned leader in the industry, id Software forged such frenetic titles as Wolfenstein 3DÂ®, DOOMÂ®, DOOM IIÂ®, QUAKEÂ® QUAKE IIÂ®, QUAKE III ArenaÂ®, QUAKE 4Â®, Return to Castle WolfensteinÂ®, DOOM 3Â®, and Enemy Territory: QUAKE Warsâ„¢. With intense graphics and mind-blowing action, idâ€™s games have helped redefine the modern video game, continually setting industry standards for technology and gameplay. Check out more about id Software at www.idsoftware.com.

About Marvel Entertainment, Inc.

With a library of over 5,000 characters, Marvel Entertainment, Inc. is one of the world’s most prominent character-based entertainment companies. Marvel’s operations are focused on utilizing its character franchises in licensing, entertainment, publishing and toys. Areas of emphasis include feature films, DVD/home video, consumer products, video games, action figures and role-playing toys, television and promotions. Rooted in the creative success of over sixty years of comic book publishing, Marvel’s strategy is to leverage its character franchises in a growing array of opportunities around the world. More information about Marvel can be found at www.marvel.com.

About Wii

Nintendoâ€™s next system, Wii (formally code-named Nintendo Revolution), will feature a controller designed to be used with either one hand or two â€“ a first in the videogame industry. When picked up and pointed at the screen, the controller gives a lightning-quick element of interaction, sensing motion, depth, positioning and targeting dictated by movement of the controller itself.

About Activision, Inc.

Headquartered in Santa Monica, California, Activision, Inc. is a leading worldwide developer, publisher and distributor of interactive entertainment and leisure products. Founded in 1979, Activision posted net revenues of $1.5 billion for the fiscal year ended March 31, 2006.

Activision maintains operations in the U.S., Canada, the United Kingdom, France, Germany, Italy, Japan, Australia, Scandinavia, Spain and the Netherlands. More information about Activision and its products can be found on the company’s World Wide Web site, which is located at www.activision.com.

Imagine youâ€™re making your seminal film and you need to bring your audience to the edge of their seats. Does your chase scene end in an epic explosion? Does your story shift staging to an exotic new set? Does your leading man freefall from the top floor of an office buildingâ€¦and survive?

With The Movies: Stunts & Effects Expansion Pack, these choices and more are all in your hands. Introduce dangerous stunts, astounding visual effects and impressive new sets to your Hollywood hit parade. Utilize a host of new technologies, sets, backdrops, costumes, vehicles and props. Take home awards in newly created categories like biggest daredevil stunt performer and best stuntman.

KEY FEATURES:
Â· Film how you want â€“ A must-have feature for The Movies online community, the all new â€œFreecam Modeâ€ allows you to take control of the camera and create drama like never before. Adjust the camera location, angle, field of view (FOV) and path to create truly unique movies.

Â· Break a leg â€“ Include death-defying stunts, stunt scripts and new stunt double characters in your movies. From practicing in the â€œStuntmenâ€ training facilities to suffering on-the-job injuries, you control the jumps, falls, rescues and battles that can make your movie memorable or take you on a trip to the ER.

Â· More bang for your buck â€“ With the new particle effects engine, enhance your scenes with incredible visual effects. Fireball explosions, shattering glass, electrical charges, smoke and steam can turn an ordinary action sequence into a cinematic showstopper. And there is more – crush vehicles, create water effects, change the weather and add bullet squibs and lasers for amazing visual impact.

Â· Ready the set and go â€“ Dramatically expand your studio lot with a plethora of brand-new movie sets and utilizing parallax technologies. A lush jungle landscape, a bustling commercial city street and a military-grade barrack are just a few of the realistic environments, or put your actors on the green screen set and they can appear as if theyâ€™re flying across the Sahara in the final cut.

Â· Small size. Big impact â€“ With the addition of new miniature sets and scenes across several genres, you can go for dramatic sweeping angles and larger-than-life scale. Swoosh through a skyscraper canyon or pan across a galaxy far far away for dramatic impact. Use miniature models of UFO motherships to recreate an alien invasion of Earth or a group of miniature helicopters to fly a platoon deep into the jungle for your war-time epic.

Â· Give me more â€“ Pick from a host of new backdrops, costumes, props, vehicles and aircraft, to dress each all of your sets and scenes down to the last detail. Plus utilize the updated costume selection menu to make your actors appear older or heavier so they can really get into their characters perfectly.

Â· Roll out the red carpet â€“ Earn industry awards, achievements and reviews for new stunts featured in your movies. Prepare your acceptance speech because you can win best stunt movie, best stunt man or biggest daredevil stunt performer.

Â· Make your magnum opus â€“ Building on feedback from The Movies Online community members, you can now add length and sophistication to your celluloid storyline with a host of upgrades in the refined Advanced Movie Making mode.